Construction on the Temane Gas and Energy Projects is expected to commence in the second half of 2021. The Mozambican government and cooperation partners signed technical and commercial agreements on Monday, making the newest developments feasible.
The first of the three projects involved is for the exploration of additional gas fields, adjacent to the Pande and Temane fields, in an investment led by the South African petrochemical company Sasol, in partnership with Mozambique’s National Hydrocarbon Company (ENH).
Second, is the Temane Thermal Power Station, led by Globeleq (an institution formed by Norwegian and British funds), working with the publicly-owned Electricity Company, (EDM) and Sasol. Producing 450 megawatts, this will be the largest power station built since Mozambican independence in 1975.
The third project is for the Temane-Maputo high voltage (400KV) power line, running for 650 kilometres which will be fully owned by EDM.
Mozambican President Filipe Nyusi, who witnessed the signing of the contracts, said the three projects enshrine the Mozambican government’s vision, through the national “Energy for All” programme, intended to ensure electricity reaches every Mozambican household and industry by 2030.
The agreements, Nyusi pointed out, project an integrated development of the Inhambane gas fields, paving the way not only for the construction of the Temane power station but also for the production of cooking gas and light oil.
“Our ultimate goal is to industrialize the country, and substitute the imports of cooking gas, thus contributing to the reduction of the domestic deficit and improving the sustainability of our ecosystems through replacing firewood and coal by gas,” Nyusi said, adding that the country intends to become a regional power hub.
From the exploration of Pande and Temane gas fields, about 55 million gigajoules will be purveyed to the Temane Thermal Power Station, which will cost about one billion US dollars.
The expected contribution from Temane, Nyusi said, represents 75 per cent of the government goal estimated at 600 Megawatts. The 650-kilometre transmission line includes three substations at Vilankulo, Chibuto and Marracuene.
“The overall objective and the expected impact are to take electricity, for the first time, to over 10 million Mozambicans by 2024. Our ambitious challenge is to electrify those headquarters of administrative posts, that are not yet electrified,” he said.
Furthermore, Nyusi said the implementation of the liquefied petroleum gas (cooking gas) project, will produce about 30,000 tonnes a year, which is 65 per cent of the current demand for 46,000 tonnes.
“With the cooking gas production, we expect to produce 30,000 tonnes and as an immediate consequence reduce the imports of gas”, he said, assuring the cooperation partners that the agreements will be fulfilled within the agreed time frames and that the Mozambican government will honour the investments channelled to the country.